How risky should an R&D program be?

Asher Tishler

doi:10.1016/j.econlet.2007.07.006

How risky should an R&D program be?

Asher Tishler^*

^*Corresponding author for this work

Coller School of Management

Research output: Contribution to journal › Article › peer-review

16 Scopus citations

Abstract

This paper presents a two-stage model describing the optimal choice of R&D risk among R&D programs with the same expected outcome. It demonstrates that the choice of the highest-risk R&D program is a dominant strategy under Bertrand or Cournot competition.

Original language	English
Pages (from-to)	268-271
Number of pages	4
Journal	Economics Letters
Volume	99
Issue number	2
DOIs	https://doi.org/10.1016/j.econlet.2007.07.006
State	Published - May 2008

Keywords

Oligopoly
R&D
Risk of R&D

Access to Document

10.1016/j.econlet.2007.07.006

Cite this

@article{70f58c2aa727492c9841987e7749d9d7,

title = "How risky should an R&D program be?",

abstract = "This paper presents a two-stage model describing the optimal choice of R&D risk among R&D programs with the same expected outcome. It demonstrates that the choice of the highest-risk R&D program is a dominant strategy under Bertrand or Cournot competition.",

keywords = "Oligopoly, R&D, Risk of R&D",

author = "Asher Tishler",

year = "2008",

month = may,

doi = "10.1016/j.econlet.2007.07.006",

language = "אנגלית",

volume = "99",

pages = "268--271",

journal = "Economics Letters",

issn = "0165-1765",